Credit: Shutterstock photoStocks are advancing this morning, attempting to rally before the release of several key economic reports.
S&P 500 futures are up about 0.4 percent, matching gains of a similar magnitude in Europe. Asia was mostly higher overnight, led by moves of almost 1 percent in Tokyo and Jakarta. Currencies are also bullish this morning, with the euro rising and the safe-haven Japanese yen falling.
The S&P 500 has spent the last month consolidating in a tight range above its previous peak around 1850. Although there have been few recent catalysts, theeconomic calendargets much more active this week: Global manufacturing data comes out tomorrow, followed by ADP's private-sector payrolls report Wednesday, the European Central Bank's rate decision Thursday, and non-farm payrolls Friday. Corporate earnings get underway next week.
Today's U.S. data releases include the Chicago purchasing managers index at 9:45 a.m. ET, a speech by Federal Reserve Chair Janet Yellen at 9:55 a.m. ET, and the Dallas Fed's regional index at 10:30 a.m. ET. European inflation and Japanese industrial production, released earlier, were lower than expected.
Recent price action suggests that a major change in sentiment is underway in the market as investors return to international stocks. Our researchLAB analysis tool, for instance, shows every foreign country outperforming the United States in the last week. It also shows capital flowing into energy stocks, which benefit from a stronger global economy, while former leaders in health care and the consumer-discretionary space lag. Producers of industrial metals and fertilizers have also been strong.
In company-specific news, Prana Biotechnology is crashing more than 60 percent after announcing poor Phase II results for its Alzheimer's drug.
Commodities are mixed this morning, with oil and copper fractionally lower while precious metals are inching higher. Most agricultural producers are down as well.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
